Common use of DVBE Incentive Application – Allowable Incentive Amounts Clause in Contracts

DVBE Incentive Application – Allowable Incentive Amounts. a) When the DVBE program is a required component of the solicitation, the minimum acceptable commitment level is three (3) percent. Incentive amounts applied begin at three percent and will not exceed five (5) percent. b) When the Department waives DVBE program compliance from a solicitation, a responding firm’s DVBE participation is optional. Firms proposing DVBE participation are eligible to receive a DVBE incentive calculation from one (1) to five (5) percent. The incentive applied will be at the level of proposed DVBE commitment. Example scale using high score method: Available points example using sliding scale: Administrative: 200 points Technical proposal: 400 points Cost proposal: 600 points Total: 1200 points Confirmed DVBE Participation Possible Points Calculation: 1% - 1.99% inclusive 1% X 1200 = 12 2% - 2.99% inclusive 2% X 1200 = 24 3% - 3.99% inclusive 3% X 1200 = 36 4% - 4.99% inclusive 4% X 1200 = 48 5% and Higher 5% X 1200 = 60 Example results using high score method: Responsive/Responsible Yes Yes Yes Total Points 1050 1155 1125 Eligible Preference SB None SB SB Preference points achieved 57.75 0 57.75 Rank 3 2 1 DVBE Participation No (0%) Yes (5%) Yes (2%) Incentive Points Applied None 60 24 New Rank 3 1 2 4. Order of Evaluation a) Small Business Preference is calculated by multiplying the highest total points achieved by 5% and adding the resulting calculation to the total points of the Small Business firm. In this sample the calculation was based on 1155 points x .05 resulting in 57.75 additional points added to the certified Small Businesses (A and C). b) DVBE Incentive Points are factored by multiplying the DVBE participation (%) identified by the total possible points that could be awarded (1200). This amount is then added to the firm’s total points. In the sample above, Firm B had 60 additional points added (.05% x 1200 total points available) to their total points placing them first for award. Firm C received 24 Incentive points, but this was not enough to place them first for award. c) Under the High Score Method, it is possible to displace a high point Certified Small Business with the Application of the DVBE Incentive.

DVBE Incentive Application – Allowable Incentive Amounts. a) When the DVBE program is a required component of the solicitation, the minimum acceptable commitment level is three (3) percent. Incentive amounts applied begin at three percent and will not exceed five (5) percent. b) When the Department waives DVBE program compliance from a solicitation, a responding firm’s DVBE participation is optional. Firms proposing DVBE participation are eligible to receive a DVBE incentive calculation from one (1) to five (5) percent. The incentive applied will be at the level of proposed DVBE commitment. Example scale using high score method: Available points example using sliding scale: Administrative: 200 points Technical proposal: 400 points Cost proposal: 600 points Total: 1200 points Confirmed DVBE Participation Possible Points Calculation: 1% - 1.99% inclusive 1% X 1200 = 12 2% - 2.99% inclusive 2% X 1200 = 24 3% 3I% - 3.99% inclusive n 3% X 1200 = 36 4% - 4.99% inclusive 4% X 1200 = 48 5% 5t% and Higher 5% X 1200 = 60 The example above, there are 60 maximum DVBE Incentive points possible. Example results using high score method: Proposing Firm A B C Responsive/Responsible Yes Yes Yes Total Points 1050 1155 1125 Eligible Preference SB None SB SB Preference points achieved 57.75 0 57.75 Rank 3 2 1 DVBE Participation No (0%) Yes (5%) Yes (2%) Incentive Points Applied None 60 24 New Rank 3 1 2 4. Order of Evaluation a) Small Business Preference is calculated by multiplying the highest total points achieved by 5% and adding the resulting calculation to the total points of the Small Business firm. In this sample the calculation was based on 1155 points x .05 resulting in 57.75 additional points added to the certified Small Businesses (A and C). b) DVBE Incentive Points are factored by multiplying the DVBE participation (%) identified by the total possible points that could be awarded (1200). This amount is then added to the firm’s total points. In the sample above, Firm B had 60 additional points added (.05% x 1200 total points available) to their total points placing them first for award. Firm C received 24 Incentive points, but this was not enough to place them first for award. c) Under the High Score Method, it is possible to displace a high point Certified Small Business with the Application of the DVBE Incentive.

DVBE Incentive Application – Allowable Incentive Amounts. a) When the DVBE program is a required component of the solicitation, the minimum acceptable commitment level is three (3) percent. Incentive amounts applied begin at three percent and will not exceed five (5) percent. b) When the Department waives DVBE program compliance from a solicitation, a responding firm’s DVBE participation is optional. Firms proposing DVBE participation are eligible to receive a DVBE incentive calculation from one (1) to five (5) percent. The incentive applied will be at the level of proposed DVBE commitment. Example scale using high score method: Available points example using sliding scale: Administrative: 200 points Technical proposal: 400 points Cost proposal: 600 points Total: 1200 points Confirmed DVBE Participation Possible Points Calculation: 1% - 1.99% inclusive 1% X 1200 = 12 2% - 2.99% inclusive 2% X 1200 = 24 3% - 3.99% inclusive 3% X 1200 = 36 4% - 4.99% inclusive 4% X 1200 = 48 5% and Higher 5% X 1200 = 60 In the example above, there are 60 maximum DVBE Incentive points possible. Example results using high score method: Proposing Firm A B C Responsive/Responsible Yes Yes Yes Total Points 1050 1155 1125 Eligible Preference SB None SB SB Preference points achieved 57.75 0 57.75 Rank 3 2 1 DVBE Participation No (0%) Yes (5%) Yes (2%) Incentive Points Applied None 60 24 New Rank 3 1 2 4. Order of Evaluation a) Small Business Preference is calculated by multiplying the highest total points achieved by 5% and adding the resulting calculation to the total points of the Small Business firm. In this sample the calculation was based on 1155 points x .05 resulting in 57.75 additional points added to the certified Small Businesses (A and C). b) DVBE Incentive Points are factored by multiplying the DVBE participation (%) identified by the total possible points that could be awarded (1200). This amount is then added to the firm’s total points. In the sample above, Firm B had 60 additional points added (.05% x 1200 total points available) to their total points placing them first for award. Firm C received 24 Incentive points, but this was not enough to place them first for award. c) Under the High Score Method, it is possible to displace a high point Certified Small Business with the Application of the DVBE Incentive.